What document will Desi District Franchise Group issue when it accepts the franchisee's location?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
or Desi District, which will include Franchisee's location (or territory) and telephone number.
ARTICLE 6. LOCATION, DEVELOPMENT, AND OPENING
- 6.1 Determining Location and Territory. If the Location and Territory are not stated on the Summary Page:
- (i) Franchisee shall find a potential Location within the Development Area described on the Summary Page. Franchisee shall submit its proposed Location to Desi District Franchise Group for acceptance, with all related information Desi District Franchise Group may request. If Desi District Franchise Group does not accept the proposed Location in writing within 30 days, then it is deemed rejected.
- (ii) When Desi District Franchise Group accepts the Location, it will issue a Location Acceptance Letter in the form of Attachment 2 which states the Location and Territory. Desi District Franchise Group shall determine the Territory in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document. If Desi District Franchise Group fails to state the Territory in writing within 60 days after Franchisee opens the Business to the public, the Territory will be deemed to be the zip code which includes the location of the franchised business and the immediately surrounding zip codes which together comprise a total of 100,000 population from the location of the franchised business.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, when a prospective franchisee proposes a location, they must submit it to Desi District Franchise Group for acceptance, along with any related information the franchisor requests. If Desi District does not reject the proposed location in writing within 30 days, it is considered rejected.
When Desi District accepts the location, they will issue a Location Acceptance Letter. This letter, in the form of Attachment 2, will state the specific location and territory granted to the franchisee. Desi District determines the territory in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document.
If Desi District fails to define the territory in writing within 60 days after the franchisee opens for business, the territory will default to the zip code containing the franchised business and the immediately surrounding zip codes, encompassing a total population of 100,000 from the business location. However, Desi District's acceptance of a site does not constitute a guarantee of the business's success, and they assume no liability regarding the location's suitability.